Transparency & donations: A comparative series – Spain

Issue

Rules

Who is covered?

Are the rules different during an election period?

Limitations on donations made to political parties (as well as candidates) and related reporting obligations

Organic Law 8/2007, of 4 July, on Financing of Political Parties

1. As a major limitation, Organic Law 8/2007, of 4 July, prevents political parties from receiving any financing from legal entities (Section 5).
2. Political parties shall only receive funding from individuals (either national individuals or foreigners), with the following limitations:

1. The financing cannot be anonymous, or aimed at a specific purpose, or revocable.
2. A maximum limit of EUR 50.000 per individual and year applies (except for real estate, which is not subject to a maximum value).
3. Financing (also when consisting in real estate) exceeding EUR 25.000 has to be reported to the Court of Auditors (Tribunal de Cuentas).

Political parties, associations, coalitions or electoral groups.

No.

Further limitations on funding

Organic Law 5/1985, of 19 June, of General Electoral Regime

This norm sets out slightly different restrictions on private sources of funding. Under Section 129, both natural and legal persons are entitled to donate up to EUR 10.000 to an electoral contestant (political party). This regulation, although applicable is under discussion since it is somehow contradictory that legal entities are barred from providing general support to political parties, but are allowed to make donations to them during election campaigns.

This Law regulates the election of deputies and senators to the General Courts, the election of members of local parliaments and the election of members of the European Parliament.

Yes (indeed, it only takes into consideration election periods).

Criminalization of illegal funding of political parties

Section 304 bis of the Criminal Code

This offence punishes those who receive donations for political parties if (a) the identity of the donor is not known –regardless of the amount–; (b) the identified donor has donated more than EUR 500.000 per year –excluding real estate assets–; or (c) it proceeds from unincorporated entities.

Higher penalties are foreseen if donations from (a) anonymous donors exceed EUR 500K; (b) the same individual exceeds EUR 550.000; or (c) unincorporated entities exceed EUR 550.000.

Donations from foreign governments, agencies, corporations or public enterprises or enterprises directly related to them that exceed EUR 100.000 also trigger criminal liability for this offence.

This offence may be committed by individuals and corporations.

In light of the above, the following actions do not fall under the scope of this offence and will be only punished (if applicable) by administrative bodies:

1. Payment of political party expenses by third parties;
2. Write-offs by credit institutions;
3. Donations of real estate by individuals;
4. Donations by individuals of foreign nationality;
5. Donations from foreign governments, agencies, corporations or public enterprises or enterprises directly related to them that do not exceed EUR 100K; and
6. Donations received from foundations/associations linked to political parties.

Section 304 ter of the Criminal Code

This offence punishes those who take part in organizations whose goal is to provide political parties, federations and coalitions of parties with funding aside from the law.

In addition to the above, depending on the circumstances some illegal funding conducts may be understood as generic offences of bribery (sections 419 to 417 of the Criminal Code) or influence peddling (Sections 428 to 431 of the Criminal Code).

These offences apply to donors, who may be individuals, corporations or associations linked to political parties, among others.

No.